November Trade Deficit Drained $48.7 Billion From Economy

Washington frets about the budget deficit, which is money we owe mostly to each other and have spent on things we do for each other to make our lives better. But the trade deficit is money that actually leaves our economy, making us poorer and less able to make our lives better.

“Despite talk of a manufacturing renaissance, we will shatter 2011’s record $295 billion annual trade deficit with China when the data for December comes in next month. The United States recorded a $29 billion bilateral trade deficit with China in November alone, bringing us to a $290 billion trade deficit with China so far in 2012.

“I want to see reshoring accelerate from a trickle to a trend. We won’t get there unless trade with China comes into balance.”

So while the inside-the-Beltway crowd worries about budget deficits, the serious problem of our trade deficit – which bleeds out jobs, factories, industries and our ability to make a living as a country – continues to go unaddressed.

About Dave Johnson

Dave has more than 20 years of technology industry experience. His earlier career included technical positions, including video game design at Atari and Imagic. He was a pioneer in design and development of productivity and educational applications of personal computers. More recently he helped co-found a company developing desktop systems to validate carbon trading in the US.